Ethereum is Bullish But an RSI Divergence has been found
Hello everyone, as we all know the market action discounts everything :)
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ETH has been on a bullish trend since dropping to around $1,780 on July 21 and has gained almost 148% increase in value and on Friday the price of Ether (ETH) has bounced to a new all-time high (ATH) as it hit $4,460 yesterday after Altair upgrade shows a clear path to the merge, and today started with Bullish but the market but reversed back into a Bearish day with the coin price dropping to 4318.29 at the time of this idea was posted.
Possible Scenarios for the market :
Scenario 1 :
The price has dropped today after a big surge in the coin value in the last couple of days, we could be seeing a correction in the market that could lead the price back to the first support area located near the $3873.15 or even the second resistance at $3558.91 as u see on the chart we were able to spot a Bearish divergence between the market and the RSI.
Scenario 2 :
After Altair upgrade shows a clear path to the merge the market has been increasing in value a lot which will probably be the start of a strong Bullish movement for the ETH coin, The first target will be the resistance level located at $4492.47 and from there it will be headed to the second resistance zone at $4766.45 where the market might have a small correction before it goes back into a Bullish trend on its way to the $5167.20 level.
Technical Indicators show :
1) The market is above 5 10 20 50 100 and 200 MA and EMA (Strong Bullish sign)
2) The RSI is at 61.65 showing great strength in the market. A Bearish divergence has been found that could lead to a drop in the market soon.
3) The ADX is at 32.31 showing that the market is trending with a positive crossover between the DI+ (21.80) and DI- (10.63).
Weekly Support & Resistance points :
support Resistance
1) 3768.02 1) 4467.61
2) 3367.27 2) 4766.45
3) 3068.43 3) 5167.20
Fundamental point of view :
Cointelegraph reported on Thursday that the Ethereum 2.0 Altair Beacon Chain update had a successful start, with 98.7% of the nodes upgraded at the time. A successful Altair upgrade to the Beacon Chain was seen as an important factor clearing the way to the merge with the Ethereum mainnet and the transition to a proof-of-stake consensus mechanism in Ethereum 2.0.
Ethereum’s success is also being driven by the platform’s use in the booming decentralized finance and nonfungible token sectors. They highlight ongoing rising demand for Ether in the future, thus ensuring additional tailwinds to its bullish outlook in Q4 2021 and possibly into 2022.
This is my personal opinion done with technical analysis of the market price and research online from Fundamental Analysts and News for The Fundamental point of view, not financial advice.
If you have any questions please ask and have a great day !!
Thank you for reading.
_________________________________Make sure to Like and Follow if you like the idea_________________________________
ETH has been on a bullish trend since dropping to around $1,780 on July 21 and has gained almost 148% increase in value and on Friday the price of Ether (ETH) has bounced to a new all-time high (ATH) as it hit $4,460 yesterday after Altair upgrade shows a clear path to the merge, and today started with Bullish but the market but reversed back into a Bearish day with the coin price dropping to 4318.29 at the time of this idea was posted.
Possible Scenarios for the market :
Scenario 1 :
The price has dropped today after a big surge in the coin value in the last couple of days, we could be seeing a correction in the market that could lead the price back to the first support area located near the $3873.15 or even the second resistance at $3558.91 as u see on the chart we were able to spot a Bearish divergence between the market and the RSI.
Scenario 2 :
After Altair upgrade shows a clear path to the merge the market has been increasing in value a lot which will probably be the start of a strong Bullish movement for the ETH coin, The first target will be the resistance level located at $4492.47 and from there it will be headed to the second resistance zone at $4766.45 where the market might have a small correction before it goes back into a Bullish trend on its way to the $5167.20 level.
Technical Indicators show :
1) The market is above 5 10 20 50 100 and 200 MA and EMA (Strong Bullish sign)
2) The RSI is at 61.65 showing great strength in the market. A Bearish divergence has been found that could lead to a drop in the market soon.
3) The ADX is at 32.31 showing that the market is trending with a positive crossover between the DI+ (21.80) and DI- (10.63).
Weekly Support & Resistance points :
support Resistance
1) 3768.02 1) 4467.61
2) 3367.27 2) 4766.45
3) 3068.43 3) 5167.20
Fundamental point of view :
Cointelegraph reported on Thursday that the Ethereum 2.0 Altair Beacon Chain update had a successful start, with 98.7% of the nodes upgraded at the time. A successful Altair upgrade to the Beacon Chain was seen as an important factor clearing the way to the merge with the Ethereum mainnet and the transition to a proof-of-stake consensus mechanism in Ethereum 2.0.
Ethereum’s success is also being driven by the platform’s use in the booming decentralized finance and nonfungible token sectors. They highlight ongoing rising demand for Ether in the future, thus ensuring additional tailwinds to its bullish outlook in Q4 2021 and possibly into 2022.
This is my personal opinion done with technical analysis of the market price and research online from Fundamental Analysts and News for The Fundamental point of view, not financial advice.
If you have any questions please ask and have a great day !!
Thank you for reading.